Bitcoin’s ongoing bull run will continue until November of 2024. This is the prediction long-time crypto advocate Michael Saylor shared on Bitcoin Atlantis’ stage earlier this month. According to Saylor, the “gold rush” can no longer be stopped by presidential elections, SEC leadership changes, or political opinions.
Saylor, MicroStrategy’s former CEO and current chairman, referred to the approval of spot Bitcoin ETFs as the main driver of the gold rush. Not only can institutional investors now acquire Bitcoin through “their prime broker” but this possibility has also increased trust in the cryptocurrency.
Now, Bitcoin has broken the $67,000 resistance point for the first time since 2021, getting closer to its $69,000 all-time high. Companies like MicroStrategy, which Saylor co-founded, have also doubled down on their Bitcoin investment, further increasing institutional and individual trust in the coin’s future.
Are AI and ETFs to Thank?
The prolonged rush predicted by Michael Saylor might have started with the approval of Bitcoin ETFs, but this was not the only driver behind them. According to Saylor, technological innovations like artificial intelligence would also have played an important role. He believes that AI will “drive demand for Bitcoin” by making it easier to transact with the cryptocurrency.
Saylor also cited escalating AI development creating new demand drivers for Bitcoin’s digital energy capabilities. He predicted requirements for cryptographically secure data verification and even the powering of AI avatars would have a positive impact on Bitcoin as AI grows more prevalent.
ETFs, on the other hand, have driven demand for Bitcoin by becoming a more efficient and trustworthy “distribution channel”. “When they can buy via their bank, their institutional wirehouse, their prime broker, they will make a $50 million decision in one hour,” Saylor stated.
The conjunction of these two developments will now increase competitive pressure in the financial world, which would lead to most banks offering Bitcoin to their clients. This “resistance drop” could eventually lead to Bitcoin becoming “creditworthy”, further integrating it into everyday financial transactions.
MicroStrategy Goes All In With $155 Million Bitcoin Purchase
Saylor has been a vocal supporter and Bitcoin believer over the past decade. This position has extended to MicroStrategy, the company he co-founded and continues to help lead. MicroStrategy recently doubled down on its massive Bitcoin bet, purchasing an additional 3,000 tokens for $155.4 million in cash over the past two weeks.
MicroStrategy’s Bitcoin holdings have now ballooned to approximately 193,000 coins valued at nearly $12 billion. The latest 3,000 Bitcoins were acquired between February 15 and 25 at an average price of $51,813, which means the company has already benefited greatly from their investment as BTC’s price has gone up by almost 25% over the past two weeks.
Saylor has said time after time that there “is no reason to sell the winner”, referring to how the company plans to be on Bitcoin in the long run. While a significant portion of MicroStrategy’s corporate cash reserves are tied to Bitcoin’s market fluctuations, which continue to be highly volatile, Saylor believes the risks are worth the potential rewards long-term.
Bitcoin Breaks $67K as Bull Run Continues
Bitcoin officially broke the $65K resistance point earlier this Monday. With a market capitalization of over $1.2T, the world’s biggest cryptocurrency is well on its way to surpass the all-time high it set in 2021.
Peaking at over $67,000, Bitcoin has seen its price almost triple over the past year with a growth of over 190%. According to Reuters, the top 10 largest U.S. spot Bitcoin ETFs had surpassed the $2.1 billion mark by the start of the month.
While the cryptocurrency remains highly volatile, the recent recovery of the cryptocurrency market suggests that trust remains high and is only likely to grow over the coming years.
